[Asia Economy Reporter Park Hyesook] Incheon City announced on the 21st that the 'Ordinance on Support for Sound Management of Collective Buildings,' which will serve as an institutional basis for efficient and fair management of collective buildings, has been enacted.
Collective buildings refer to small-scale multi-unit housing with fewer than 300 households, officetels, urban-type residential housing, commercial buildings, and the like.
The city established the ordinance in response to the increase in collective buildings due to the recent rise in single-person households, which has led to conflicts and complaints over excessive management fees and lack of transparency in the use of management fees.
The current 'Act on Ownership and Management of Collective Buildings' mainly regulates key matters related to ownership and land use rights but stipulates that, except for essential matters, resolutions of the management association meetings or management regulations should be used as much as possible.
Therefore, even when disputes arise, administrative authorities find it difficult to intervene institutionally, and transparency and appropriateness in management operations are not guaranteed.
However, with the enforcement of this ordinance, the city will be able to support various projects to resolve conflicts and disputes related to collective buildings, such as establishing comprehensive plans for sound management of collective buildings, developing support policies, providing legal consultation and other support services, conducting education and promotional activities, and supporting safety inspection costs.
In particular, the city plans to form a Collective Building Management Support Group to provide advice on setting or changing regulations, management fees, and accounting operations.
An official from Incheon City stated, "We will do our best to support the efficient and fair management of collective buildings, which have so far been managed only in the private sector."
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